Morgan Stanley has reiterated its Overweight rating on Ambuja Cements, setting a target price of ₹775, which indicates a 36% upside from the current market price of ₹570. Ambuja reported better-than-expected standalone and consolidated volumes, coupled with higher-than-anticipated realizations, contributing to a consolidated EBITDA of ₹11.1 billion—21% above Morgan Stanley’s estimate and approximately 66% above consensus.
The EBITDA per tonne came in at ₹780, surpassing Morgan Stanley’s expectation of ₹697 per tonne. However, consolidated operating expenses were slightly higher than anticipated. Ambuja’s cash position stood at ₹101 billion, down from ₹183 billion in the previous quarter, following the ₹78 billion acquisition of Penna Cements.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors are advised to perform their due diligence before making investment decisions.
